Five franchises under $100k

Australia is the world’s most franchised nation on a per-person basis, with three times as many franchises per head compared with the United States, IBISWorld research shows.

The appeal of a franchise is clear. On paper, investing in one brings you turnkey convenience twinned with recognition. Still, you need not bust the budget – the industry has its share of low-cost opportunities that could prove to be bargains if you are canny and lucky and you do your homework: the more the better.

Here, two industry insiders assess five proven low-cost franchises that it is possible to buy for under $100,000, and explain what you get for your money.

If you are tempted to buy a slice of this mortgage brokerage offering a range of client funding sources, you should have a fiscal, white-collar background, advises franchising strategist Brian Keen. Experience in sales, marketing or finance helps – a banking background might be handy, says Keen.

Once you sign up, you represent “a proven system” boasting great recognition. “You’ve got a brand of course that’s very, very well-known.”

“Ideal” for solo entrepreneurs, according to Keen, Mortgage Choice offers a vast, supportive buddy network: members talk shop over coffee or via Skype.

Training: “Comprehensive training and support,” according to the company website.

Since its 2003 launch, the mobile cleaning franchise Keen To Clean has flourished, says Keen, who is not affiliated with the business. Keen To Clean concentrates on domestic and business cleaning and carpet cleaning.

“So, basic stuff, but there’s a growing demand,” Keen says, adding that the business he paints as youthfully dynamic is wedded to modern gadgetry and web-driven marketing. Just be sure you can handle the servitude.

“To a degree you’re subservient, working for people domestically – not everyone’s comfortable.”

But, peacefully removed from the maddening crowd, you should find that cash flow “ticks over” because you may well start with a client base, Keen says.

According to analyst Glenn Walford, who has written widely about the franchising sector, Fifo offers broad and solid opportunity.

Think a proven system, training, support and expertise, letting you tap a rich market: Australia has hundreds of thousands of small-to-medium businesses, Walford says. For them, access to growth building capital is tighter than it has been for a long time, he adds.

Fifo may suit self-starters who demand freedom because the work is “highly flexible”. You decide how you manage your time, on average serving just 10 clients. Work from home and you have “very low ongoing costs”.

Like Fifo, he adds, TermiCam is much more than a “me too” clone. Offering a “unique twist” on a vital service, TermiCam solves a “sizeable” consumer market’s problems and so underpins its franchisees’ future. To succeed, you just need a strong desire to be a thriving owner-operator, he says.